The Consumer Price Index rose by 1.5% in December compared with December 2013, down from the 2.0% rate of annualized increase in November.
The CPI in December for goods was up 0.7% from a year earlier while the CPI for services rose 2.1%.
Gasoline prices decreased 16.6% from December 2013, after falling 5.9% in November. Overall, energy prices fell 6.4% between December 2013 and December 2014, following a 0.6% annualized rate of increase in November. Excluding energy, the annualized Consumer Price Index rose 2.2% in December, unchanged from November.
Food prices rose 3.7% in the 12 months to December, after a 3.1% rate of annualized increase was posted in November. The cost of food purchased from stores in the 12 months to December grew by 4.2%, up from a 3.3% increase in November. The increase was led by meat prices, which grew by 13.1% following an 12.2% gain in November. Prices for fresh vegetables were up 6.9% year-over-year after a 3.6% increase in November. Prices for food purchased from restaurants advanced 2.5% on a year-over-year basis, the same annualized growth rate is in November.
Costs associated with shelter rose 2.4% in December over December 2013, after increasing 2.3% in November. Consumers paid 16.5% more for natural gas after a 14.7% annualized rate of increase in November. As well, electricity prices were up 4.3% year-over-year following a 3.6% rate of increase in November. In contrast, consumers paid less for fuel oil than they did in December 2013
Consumers paid 2.7% more for household operations, furnishings and equipment in December compared to December 2013, down from the 3.0% rate of increase recorded in November.
Transportation prices fell 2.8% in the 12 months to December 2014, following a 0.2% decrease in November. Lower gasoline prices were almost totally responsible for the decline. Conversely, consumers paid 1.6% more on a year-over-year basis for the purchase of passenger vehicles, after paying 1.3% more in November
In the 12 months to December 2014, consumer prices rose in nine provinces. The CPI grew the most in both Ontario and Alberta (+1.9%), followed by Saskatchewan with an annualized rate of 1.7%. The only decline occurred in Prince Edward Island (-0.4%). The CPI in Quebec was up 1.1% from December 2013.